Govt to reform labour law, BEE

2011-02-15 22:12

Cape Town - Government will reform labour policies and revisit broad-based black economic empowerment as part of its new push for job creation.

This emerged during an address by Economic Development Minister Ebrahim Patel in Parliament on Tuesday.

Patel said the state will change labour policies to support productivity and improve protection for vulnerable workers. Broad-based black economic empowerment will also be re-examined.

He stressed that job creation will be a priority throughout all spheres of government this year.

Addressing the national council of provinces select committee on the New Growth Path, he said the challenge of job creation would override all departments.

"All government departments will align their programmes with the job creation imperative. The provincial and local spheres have been requested to do the same... with regular reporting on what they are doing to support employment creation and growth," said Patel.

With the percentage of people employed in South Africa currently at 41.3% and lower than in countries like Egypt, India, Malaysia, Brazil and China, Patel said the government's new jobs plan was vital.

He said some of the key job drivers were infrastructure, agriculture, mining and beneficiation, manufacturing and tourism, rural development and new economies like the green economy.

He said the government would step up education and skills development, enterprise development, developmental trade policies with a strong orientation to new growth centres and investment to support African development.

Training would be at the centre of the new growth path. Resources and funding would be drawn from state budgets, universities and science councils, retirement funds, the domestic private sector, international investment, donor funding and financial institutions.

"Each sector must contribute to building the economy," said Patel.

He said in 2011, there would need to be better planning and improved connections between economic policy departments in provinces, municipalities and national government and regulatory inefficiencies in economic centres must be addressed.

"2011 is a year of job creation. Co-ordination of policy, regulation, planning and implementation across government is critical.

"We must involve communities... social partners like business, labour and civil society, have a crucial role to play," he said.

  • Benzo - 2011-02-15 22:56

    This sounds good. I am 74, healthy, fit and have experience in accounting, logistics, ICT, business process and database design, project management in IT related projects and training in all of the above. Just let me know when and where I can assist.

  • scud - 2011-02-15 23:01

    all sounds great,but sadly govt doublespeak and more regulation will make matters worse. Blinded by their silly dogma these guys are clueless. Why not just add 5m workers to govt payroll? nobody will notice 5m more people doing nothing.

  • Jabo - 2011-02-15 23:21

    Eskom must take the lead with BBBEE empowermend and keep to their motto.

  • J S - 2011-02-15 23:57

    What does this mean: "Broad-based black economic empowerment will also be re-examined"?? Does it mean more white jobs will be shed so that blacks get more jobs? Or that the best person will get the job? If you get rid of whites to give black people jobs you are not creating jobs. You are just substituting one with the other. So what does this mean? It is not clear at all..

      Mpho - 2011-05-25 23:16

      obviosly more black people geting jobs...dah

  • terry - 2011-02-15 23:57

    you can see elections are here again empty promises being made by our 100% TALKING AND 0%action ruling gravy train experts

  • Hennie Greeff - 2011-02-16 00:05

    The usual results of better "co-ordination of policy, regulation, planning and implementation accross government" would be LESSER jobs. Cut out all the red tape, indabas: fired all whites and replace each one with 3 to 5 blacks. This is what will happen; it did happen and will continue.

  • Hamilton McKenzie - 2011-02-16 00:09

    Yeah right, they will invest in education and training...but not too much, we still want to keep the masses ignorant that they will keep on voting for us...;-)

  • Kevin - 2011-02-16 00:49

    Please end BEE so I can come home.

  • ratsathome - 2011-02-16 00:52

    It took them 17 years to find out that BEE is a load of crap.Another 17 for AA and maybe another 20 to see that the government does'nt work.Well done.

  • Michael - 2011-02-16 03:46

    Job creation can not be achieved merely through passing of legislations and laws and force them upon business owners to simply comply. If it is so simple, there will no poverty in this world.

  • Kevin - 2011-02-16 05:14

    BEE to go? I doubt it very much as ANC are in election mode. Job creation is made possible by good governance and investment. Good governance is what we defintely dont not have as seen by the high levels of corruption, murdering of rivals and poor service delivery riots. Investment, which drives growth, will not happen while the ANC preaches nationalisation. Who would invest if your invest could be "liberated at any time. The ANC need to stop sending conflicting messages to the markets.

  • abrham - 2011-02-16 05:22

    yeah, right!

  • Big Cheese - 2011-02-16 05:52

    Unless you make it easier to fire employees , all your half baked schemes are pie in the sky Mr Patel . We taxpayers are gatvol of seeing our money wasted on these hare brained schemes . Get your act together , man !

  • CorneN - 2011-02-16 05:53

    Pre-election lip service!

  • Paul - 2011-02-16 06:32

    Every year we hear the same thing. Job creation. Well they have succeeded in some aspects. Each business must fill out more and more tax and other compliance forms, recons, more frequently. This sure creates jobs in SARS and CIRPO. But is it productive? NO! Its costing businesses more and more in legal and accounting fees, which reduces profits and returns. Soon a business starts making a loss and it liquidates, retrenching all their employees. My suggestion: do away with the labour protection procedural laws, and the bloody trade unions.

  • BernieK - 2011-02-16 06:40

    So what is the plan? Lots of words but what is the plan exactly?

  • Pete - 2011-02-16 06:45

    One important aspect missing from the list of resources needed to build our economy in South Africa is that the people themselves have to realise their need of getting off their bums and doing something for themselves.

  • Werner - 2011-02-16 06:50

    By job creation do they mean for black people only or are whites also allowed to get jobs? I have a medium sized construction company and we have the ability to employ 100's of people, but the ANC (in the form of local municipalities) refuse to allow me to tender on government jobs, thus cutting my ability to help in job creation....

  • Curious - 2011-02-16 06:53

    Does that mean that Govt will create an employing environment with flexibe labour laws or does it still believe that more labour legislation is key to employment growth. BEE, draconian labour laws, questionable property rights is the only way to africanise a modern economy.

  • ja - 2011-02-16 06:55

    getting rid of bee will be a step in the right direction and getting rid of unions will make the employment task better

  • Dee - 2011-02-16 06:59

    This is a revelation. You cannot dream of creating jobs within the framework of our stringent labour laws. the proposed new bills will scare us even more from employing people and unemployment will rise. Make is easier to fire and we will gladly hire!

  • Lee - 2011-02-16 07:23

    Job creation is obviously the most critical component to fixing this countries problems, and its great that this is the nucleus of the governments focus this year. However, there are no tangible solutions being offered. WHAT are they planning to do?? It is great to blurt out what HAS to be done and to identify the prob's but without concrete macroeconomic strategies, this is just typical ANC blabber...

  • Ellen - 2011-02-16 07:24

    Very vague isnt' it. They talk the talk but can they walk the walk? Some believe that with job creation the crime will come down. But why is it that in so many instances the criminals are in fact employed and by the government at that? Makes one think?

  • Navarac - 2011-02-16 07:25

    Before "job creation" can even begin to work, the government must reduce social grants to a minimum to motivate the unemployed to want to work. I have no scientific evidence to support the following contention: A large majority of those currently employed have every confidence in their own ability to find alternative employment.

  • Dal - 2011-02-16 07:29

    Correct me if i am wrong, but all this has more or less been said since 1994. Please can someone who is educated in economics and politics explain to me why 2011 will be different to the years since 1994? Help me out here guys....

  • Philip - 2011-02-16 07:29

    This looks good on paper but will come to naught. The wave of violence and lawlessness that is the norm with strikers, and the lack of action by union bosses against strikers guilty of violence, intimidation and outright lawlessness will not encourage business to hire more people. The ANC needs to talk to the COSATU leadership and tell this behaviour is unacceptable. COSATU needs to do something about and need to be seen doing something about. Vavi and Cronin who have been very vocal about labour brokers have been silent on this unacceptable behaviour by strikers. I wonder why. Basically business is not going to employ people who go out of their way to damage property.

  • Bheki - 2011-02-16 07:44

    I personally suport the plan as long as its safe to do so. Otherwise expect the situation of Reavaya and taxe associations situation if not handled properly.

  • Phil - 2011-02-16 07:44

    A "key jobs driver is mining"? Then why all the talk of nationalisation? Why burden the mines with a royalty which has brought more mines to the brink of closure? Why does the government force companies to pay a royalty based on turnover even if the company is unprofitable? This is just a ploy to win votes in the coming elections.

  • Duke - 2011-02-16 07:46

    Nice sentiments, no detail.

  • Taff2 - 2011-02-16 07:46

    What does Patel mean by "re-visiting BEE"? Is the Govt coming to its senses or it is going to intensify its money-grabbing policy?

  • Excalibur - 2011-02-16 07:54

    I run a smallish IT company which I could grow 10-fold in the next 4 years, such is the demand for what we do. But I won't. I do not need the extra money and I CERTAINLY do not need the aggravation of employees who can do what the hell they want because the government "protects" them so much. I have tried and was forced to close the company due to 1/2 of them becoming progressively more idle. As for getting above 50 employees, and then having to comply with stupid legislation about who I can and cannot hire, who I can buy from, what a crock. So - the government is actually contributing to unemployment by just making growing my business too onerous. And still this silly little poison dwarf carries on chasing a socialist ideal, one which has no successful precedent anywhere in the world.

  • Non-employer - 2011-02-16 07:59

    How about improving protection for vulnerable employers you communist fool? If the labour laws were not so biased against us we might be more inclined to employ the ill-educated workforce that you are producing from your lousy education system.

  • Vickerman - 2011-02-16 08:03

    Quote "to support productivity and improve protection of vulnerable workers" = a complete contradiction. The ONLY way to improve productivity is to take away job security altogether, thereby increasing productivity which will result in growing businesses, thus growing the economy and finally resulting in sustainable job growth. Doesnt take a rocket scientist to figure this out, just a business owner...

  • John - 2011-02-16 08:10

    Arghhhhh....yada yada yada yada. Its easy to wax lyrical about what needs to be done, but SOMEONE actually needs to get their hands dirty and do some bloody WORK! Make it easier for business to operate, and jobs will follow. Doesnt take a rocket scientist to figure this one out.

  • Flash - 2011-02-16 08:12

    Have we not heared all this cr$p before. Having an idea is great but the Goverment/ANC have such a poor record of implementation. Talk is cheap money buys the wiskey. Lets see if this round is any different.

  • trevor martin - 2011-02-16 08:21

    Why dont this bunch get off their asses and 1/No bribes to govt officials SAVE R500Million 2/ EXPORT all illegal immigrants back to Zimbabwe , Nigeria , Malawi , Angola etc This will CREATE 500,000 jobs for our OWN people and NOT illegal immigrants voting for ANC corruption

  • Looneytune - 2011-02-16 08:27

    We have heard this far to many times before

  • Wolf - 2011-02-16 08:29

    BEE AA must be scraped no more reverse Apartheid fair chance for all rainbow nation citizens choose workers by qualifications not color of skin BEE AA causes only hatred and may lead to a civil war where there will be no winners or lozers but many dead people. Wake up ANC

  • Bloekom - 2011-02-16 08:29

    "...Resources and funding would be drawn from state budgets, universities and science councils, retirement funds....." Retirement funds ???

  • ap - 2011-02-16 08:29

    How about lowering taxes and regulation. That would help much.

  • Monika - 2011-02-16 08:40

    Watch this space - more racism, more cronyism, more unemployment, more etc etc etc etc

  • Shorts - 2011-02-16 08:42

    Reading between the lines, the focus seems to be more on creating jobs for blacks, as well as ensuring more & more that those positions that do become available must be filled by blacks. This extremely narrow minded Government racially biased approach is going encourage an increasing number of good calibre, young white professionals to emigrate to those parts of the world that do not actively practice this ' reverse apartheid ' philosophy.

  • Mart Botha - 2011-02-16 08:46

    The Malthusian Theory, although largely discounted in most quarters, alludes to the idea that self sufficiency, national productivity and ultimate well being is dependent on population numbers. Trying to create jobs to match the numbers is a losing game. Until Government take a long hard and realistic look at encouraging smaller families across the board in this country and supporting this through education and making birth control products more readily available, the battle is already lost. I am positive that many millions of woman with one or two children don't really want to have more, but for various economic, cultural and perhaps reasons of ignorance, fall pregnant. The joke used to be 'if you didn't have TV you ended up with lots of children." Well I say...give the people TVs if that's what it takes, but definitely women need to have better choices than being baby factories which helps no one.

  • john - 2011-02-16 08:53

    If you are employed and have no accountability or sense of responsibility,discipline or a will to improve productivity because you are protected better than a kindergarden child by the labour laws that make hiring you a shlep because of all the beaurcracy trying to get you to work in between the strikes there is no way that more jobs will be created.This goverment adores China that has no unions therefore no say for the working class but insist on such rigid labour policies.It does not need a rocket scientist to see that the masses of workers on the side of the road will not get empoyed and drive around in a black 4x4

  • Oh joy - 2011-02-16 08:53

    Brother they contradict themselves...while they spew job creation they have even MORE restrictive labour laws they are wanting to sign into law! Strong unions equals weak economy and that is a economical fact. Until they loosen labour law and improve productivity it will not work and business (atleast private sector ones) will head to capital investment and away from labour.

  • Oh joy - 2011-02-16 08:54

    Brother they contradict themselves...while they spew job creation they have even MORE restrictive labour laws they are wanting to sign into law! Strong unions equals weak economy and that is a economical fact. Until they loosen labour law and improve productivity it will not work and business (atleast private sector ones) will head to capital investment and away from labour.

  • Loudly South African - 2011-02-16 08:56

    Writer, Patel said that government will CHANGE the laws, he did not say reform them. This is the first time I have read of an ANC fat cat admitting that more than half the population are unemployed (41.3% employed)

  • EISH - 2011-02-16 08:57

    Jip, more jobs, but jobs for whom? Do you have to have a certain pigment colour to qualify for this new jobs?

  • Shams - 2011-02-16 09:08

    More mixed signals from ANC & government and LOTS of HOT AIR! Nothing will come of this, except for more Zumanomics - Zuma's family and friends who will grow rich from the wasteful money thrown at it.

  • Jamo - 2011-02-16 09:08

    Are these guys nuts? When you see the headline you think they've finally come to their senses - they've realised that BEE and restrictive labour laws are at the heart of the unemployment crisis.... only to read the content and find the buffoons think the laws need to be stricter! Give me strength.

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